NACIA Farm Bill Update -- Senate Passes Conference Report
May 15, 2008
Today, the Senate continued their debate on the Farm Bill Conference Report and passed the Report by a vote of 81 yeas to 15 nays. Below is a brief summary of today's Floor action.
Both Houses expect to get the legislation to the President early next week. Pending a Presidential veto, Representative Peterson and Senator Harkin plan to vote on an override before the Memorial Day weekend.
Senate Floor Consideration Summary:
On the morning of May 15, 2008, the Senate continued consideration of the Conference Report accompanying H.R. 2419. After 90 minutes of debate, evenly divided, the Conference Report passed by a vote of 81 yeas to 15 nays.
Senator Chambliss (R-GA) – I want to thank Senator Harkin again for his leadership on this bill. We had a good, long debate last night with a number of folks, and we hope to wrap things up soon.
Senator Craig (R-ID) – Thanks to all for this bipartisan effort. The specialty crop producers are a very important part of this industry, and yet they have never been mentioned in federal policy before. We now have a title devoted to horticultural and organic agriculture. This is not a loan guarantee, but a way to expand access to specialty crops across the country. It expands the Fresh Fruit and Vegetable Snack Program in schools, expands access for farmers markets, increases research, and increases market access. This bill will go a long way toward helping specialty crop and organic agriculture.
The endangered species provision in the bill is also very important. The bill provides an important safety net and increases investments in conservation and renewable energy production.
The House had a solid vote yesterday, and I think we will have a strong vote today in the Senate. To the White House: you and your team have been at the table working with us on this bill for over a year, and it is time you recognize its value and help get it done.
Senator Conrad (D-ND) – Senators Harkin and Chambliss both have done a great job on getting this bill done. This bill is completely paid for and it is pay/go compliant. These are not my estimates, and they are not the Budget Committee's estimates: they are from the Congressional Budget Office.
We also received information from the IRS last night regarding income levels and farm payments. The IRS debunks the press stories that say millionaires can get farm payments, saying that zero people in the United States have both an on-farm income of $750,000 and an off-farm income of $500,000. This bill provides more dramatic reform than ever before.
Senator Coleman (R-MN) – This is not about partisan politics, but about doing the right thing. It is about providing a safety net for the farmers who provide the most abundant, safest, and most affordable food supply in the world. This farm bill will have an enormous impact on all Americans. It not only provides a safety net for our farmers, but it also provides nutrition programs for those who do not have access to food.
This bill provides assistance to an industry that supports millions of jobs in the American economy. It is insulting to these hardworking individuals to insinuate that they are all rich millionaires that will never face uncertainty and that do not need a safety net. This bill is historic. We are trying to get the Ted Turner's out of the business of getting farm subsidies. We eliminated the three-entity rule, applied direct attribution, and lowered the AGI limit. We also provided permanent disaster assistance and a sugar-to-ethanol program.
Senator Baucus (D-MT) – Everyone in this conference worked together. I am glad that we will pass a very strong farm bill. Few Americans realize how important farmers and ranchers are to the country. There is a lot of criticism of farmers and ranchers. Many think the agriculture industry is full of huge, rich farms. In fact, only 2.2 percent of farms are non-family farms. American families are the only families in the world that spend less than ten percent of their income on food. Farmers and ranchers have always been in the middle of a never-ending price squeeze. No one ever mentions the skyrocketing costs that farmers and ranchers face everyday just to produce their goods.
I think this farm bill will strengthen our farm economy. One of the biggest reforms included is country-of-origin labeling (COOL). It is a major step forward. Another reform included is to allow the interstate shipment of meat. We also include historic investments in nutrition programs and energy programs. We on the Committee appreciate what farmers do, and we will continue to fight for their security.
Senator Jeff Bingaman (D-NM) – This is a good bill for New Mexico, and a good bill for the nation. Important provisions in the bill include specialty crop assistance, investments in conservation and energy production, and COOL language. The addition of the southwest regional commission language is also very important, as is the Haiti provision. There are some concerns: inclusion of the MILC subsidy program in the dairy provision and the absence funding for water conservation for producers in the Ogallala aquifer. I congratulate the good work on this bill.
Senator Thune (R-SD) – This is a good bill. We are in an energy crisis in our country today, and one of the most important titles in this bill is the energy title. The production of biofuels is one important thing that can be done to help alleviate high energy prices. Everyone is criticizing ethanol, but with increased technology and the hard work of our producers, we have increased both corn production and ethanol production. Ethanol should not be blamed for high food prices. Oil is to be blamed more than ethanol.
This bill moves us into the next direction with cellulosic production. We have an enormous opportunity to increase the volume of biofuels in this country. Studies show that if not for ethanol, gasoline prices would be fifteen percent higher than they currently are. This bill will encourage farmers to grow crops that can increase renewable energy production.
Senator Murray (D-WA) – The Farm Bill we are considering today is very important to Washington and to our country's future because it will help find domestic and international markets for our specialty crops. This is the first time ever that Congress has passed a farm bill that includes comprehensive provisions for our specialty crop farmers. This bill includes critical dollars for block grants so that specialty crop farms can increase their competitiveness, as well as assistance for asparagus farmers. Also of importance is the National Clean Plant Network. This is very important for producers to help prevent the spread of viruses. Nutrition programs also are very important, as are many other provisions.
This is why the President's veto threat is so disappointing. Not everyone got what they wanted because that would be impossible. This is an important bill, and I hope we get beyond politics on this bill.
Senator Klobuchar (D-MN) – The House passed the Conference Report yesterday by a vote of 318 to 106, and we expect to pass it later today with an overwhelming majority. Farming is still a risk intensive profession, and it is important to continue to have the safety net so we do not become food dependent on foreign sources like we are energy dependent. We will need to go beyond our crop-based ethanol, and the cellulosic ethanol provision in this bill will help us do that.
I was a strong proponent of reform in this bill, and I was not completely happy with everything. But this bill does three things that are good: elimination of the three-entity rule, substantial income limit of $500,000 off-farm income, and a substantial income limit of $750,000 for on-farm income. We have made important advancements for conservation as well.
Senator DeMint (R-SC) – I oppose the Farm Bill. I have some broader concerns and some specific concerns about the Farm bill. We should be protecting and defending the U.S. Constitution. The Constitution limits what we do here in Congress so we can keep America free. However, we continue to expand the scope of the federal government to manage things like education and health care. Now we are trying to manage the farming industry in this country.
We also do not have a limit on how much we can spend. We continue to grow our budgets, and we keep adding to our national debt. This farm bill expands spending and does not modernize the programs. It takes us deeper and deeper into managing a part of the private sector economy. Our role should be to make the private sector work better and ensure freedoms, but not with more government. I know we are not going to stop this bill, but we do need to accept that there are some limits on what we are supposed to do as a government.
We need to find places to cut spending if we are going to increase it in other areas. As a group, as a Senate, our direction should be to reform this system and find a way to pull the government out of American business. It is crazy to pass a bill that we have not had for more than two days that spends billions of dollars.
Senator Casey (D-PA) – This Farm Bill is historic in what it will do to help dairy farmers. For the first time, the Farm Bill will consider the cost of production. This bill strengthens our safety net by providing support for feed adjustments and includes mandatory price reporting. The specialty crop provisions are excellent, and international food aid is important.
The crop insurance reforms will help producers increase acres enrolled. Cuts in direct payments and closure of loopholes are great reform. The Chesapeake Bay will be provided conservation resources to help restoration. The Farm Bill makes substantial increases to domestic food assistance as well. There is tremendous help for American families in this bill. We will override President Bush's veto if that is the case.
Senator Vitter (R-LA) – I have strong support for this bill as it includes important reforms that will send us down the path of fiscal responsibility. The sugar loan rate increase was the first since 1985 and was long overdue. Also, the uniform loan rate changes for rice will be helpful to the industry. Tax provisions are included to reduce the maximum tax rate on gains from certain timber. There are also improvements to the MILC program that will help domestic dairy farmers.
There are many good, solid, responsible reasons to support this bill. It will provide stability for our farmers and will help all Americans. Again, I support this bill and encourage President Bush not to veto. I encourage my colleagues to override his veto if he does.
Senator Brown (D-OH) – This is not just a farm bill, but a food bill, energy, conservation, rural development, and economic development bill. It includes a safety net called the Average Crop Revenue program that is a revenue-based payment program. Farmers receive better protection with this bill. The conservation programs are common sense and meaningful. Fruit and vegetable farmers will receive more assistance than ever before. The food enterprise development program is beneficial.
This bill also provides relief for dairy farmers with the feed adjustment provision. The Farm Bill increases food stamp benefits and indexes those benefits to inflation. There is also increased assistance for food banks. There is a major step forward for nutrition, but we need to be sure we keep an eye on the McGovern-Dole program too. This is a great bill.
Senator Cochran (R-MS) – I want to send thanks to all who have been involved, especially to all of the staff. This is a great bill and many people put a lot of work into it.
Senator Chambliss (R-GA) – The media always portrays farm bills to be huge welfare program for farmers. This is simply not true. Seventy-five percent of the bill goes toward feeding those in need in this country. The bill also provides conservation measures to save the land and save rural America from being developed in times it ought not to be. The bill also provides sources for renewable energy production.
In regards to the point of order from Senator Gregg, his point says we will spend more money across the budget than we say we are going to spend. Well, if anybody in this body can tell me today what commodity prices are going to be over the next five years or ten years, then we will be able to project what the expenditure will be. We cannot predict what it will be tomorrow, much less five years from now. The 2002 bill had the same budget point of order when it passed. And, we did not spend what was projected then. We spent billions of dollars less than projected. This point of order is correct in saying we do not know exactly how much money will be spent, but that is the nature of farm bills. We spent less in 2002 and will probably spend less now. I ask that the point of order be waived.
Senator Gregg (R-NH) – In response to Senator Chambliss's discussion, there is no way that anyone can say that this bill is fiscally responsible. There are $18 billion of gimmicks in it. The bill attempts to adjust programs so that some basically disappear after a period of years so they will not be scored even though they will continue. This bill violated pay/go in the House and will do so in the Senate. Obviously, the bill is spending a lot of money, and in addition to the gimmicks, it still has a legitimate budget point of order. It should not be waived.
Senator Harkin (D-IA) – This should not be called a "farm" bill. It is called the Food, Conservation and Energy Act. The bill increases funding for nutrition programs and the majority of the bill goes to those programs. There is a new specialty crop title and increased investments in conservation. This is a bipartisan bill, and even Former Secretary of Agriculture Michael Johanns has recently said he would support this bill. More than 500 groups in the agriculture industry, nutrition industry, and conservation industry all support the bill.
Senator McCaskill (D-MO) – I offer a point of order on this bill that the rules of the Budget Act are being violated.
Senator Harkin (D-IA) – I move to waive the point of order.
The motion to waive Senator Gregg's budget point of order passed by a vote of 74 yeas 19 nays.
The motion to waive Senator McCaskill's budget point of order passed by a vote of 62 yeas to 34 nays.
Senator Reid (D-NV) – We do not often have a lot of things to celebrate on this Floor. This bill was dead several times during the process, but a lot of hard work went into getting it here. Was there enough reform? I am not sure, but this bill does have reform. Could we have done more? Perhaps, but it is a good step.
The bill includes much needed nutrition programs. Children around this country will have access to fresh fruit and vegetables in their schools. We are also increasing funding for food banks significantly. Senator Harkin has been pushing for conservation programs for years, and now farmers and ranchers can benefit from his hard work. Disaster programs will now be available for our farmers and ranchers. Energy is also addressed in this bill by encouraging biofuels production. Caps on payments to farmers are included.
This legislation is one of compromise. Congratulations for this remarkable piece of legislation. This is how we should legislate, and I hope we have a strong vote to show the bipartisan nature.
The Conference Report passed by a vote of 81 yeas to 15 nays.
This is intended to be a summary of the Senate debate on the Farm Bill Conference Report. Please let us know if you have any questions.
Brent W. Gattis
NACIA Washington Representative
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